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The Aggregate and Distributional Effects of Migration Policies: A Multifaceted Analysis

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  • Shyam Gouri Suresh

Abstract

This paper analyses alternative migration policies in a dynamic general equilibrium framework using a microsimulations approach. Agents make decisions regarding the acquisition of skill and migration based on their idiosyncratic characteristics, macroeconomic conditions, and the migration regime. Migration in turn affects skilled wages, unskilled wages, and rents in migrant sending and receiving economies. The model is simulated several times with different plausible assumptions and parametrisations to conduct policy analyses using various welfare criteria. More open policies are generally optimal in terms of maximising world and recipient country GDP per capita but suboptimal in terms of minimising recipient country inequality.

Suggested Citation

  • Shyam Gouri Suresh, 2015. "The Aggregate and Distributional Effects of Migration Policies: A Multifaceted Analysis," Working Papers 15-01, Davidson College, Department of Economics.
    • Handle: RePEc:dav:wpaper:15-01
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    References listed on IDEAS

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    More about this item

    Keywords

    Migration; Policy Analysis; Microsimulation; Heterogeneous Agents; OLG Model;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • D6 - Microeconomics - - Welfare Economics

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